Tandberg ASA shareholders with more than 24 percent of the stock want Cisco Systems to raise its 17.2 billion-krone ($3.1 billion) offer for the world’s largest maker of videoconferencing equipment.
SEB AB’s SEB Enskilda unit in Norway canvassed shareholders and found that 21 owners won’t sell “at the current offer terms,” according to a statement issued today by the bank. SEB was acting on behalf of clients, said Nils Kasper Lodden, the bank’s spokesman.
Cisco offered 153.50 kroner a share for Tandberg on Oct. 1 to expand in videoconferencing. The offer needs support from 90 percent of Tandberg’s shareholders. The Norwegian company’s board has recommended shareholders to accept the offer.
Cisco had $35 billion in cash at the end of July. Cisco’s offer was 11 percent more than Tandberg’s closing price on Sept. 30. The bid is also a 38 percent premium to the closing price on July 15, prior to news reports of a possible transaction, the San Jose, California-based company said in a statement.
Tandberg rose 2.7 kroner, or 1.8 percent, to 155.3 kroner in Oslo. Cisco fell 1 cent to $24.37 in Nasdaq Stock Market trading.
Cisco said in its e-mailed statement it’s paying a “fair price” and that it won’t comment further during the tender process. The tender period started on Oct. 9 and will end on Nov. 9.
This month, Cisco also announced plans to buy Starent Networks Corp. for $2.9 billion, or $35 a share. That was a 21 percent more than the company’s share price the day before. With Starent, Cisco will gain equipment phone carriers use to transmit video and other multimedia data to mobile devices.